The 24th Indonesia Capital Market Student Studies (ICMSS) is back, hosting a two-day series of events on February 6-7, 2025. Initiated by students from the Faculty of Economics and Business at Universitas Indonesia, ICMSS serves as both an educational platform and a strategic discussion forum for students and the general public interested in the capital market industry.
As the largest and longest-running international event of its kind in Indonesia, this year's ICMSS focuses on strengthening capital market literacy. The event not only enriches knowledge but also serves as a crucial milestone in empowering the younger generation in the capital market sector.
The Journey of Crypto Assets in Indonesia
On the second day of ICMSS 2025, Asih Karnengsih, Chairwoman of the Blockchain Association in Indonesia, discussed the development of crypto assets in Indonesia. She stated that the presence of crypto assets in the country has matured significantly since their emergence in 2017.
Although their impact was initially limited, public understanding of crypto began to grow, leading to the formation of crypto communities in 2018. In Indonesia, the term "cryptocurrency" is more commonly known as "crypto assets" rather than as a currency.
Regulations for crypto assets were introduced in 2019, initially under the supervision of the Ministry of Trade. As of 2025, oversight has been transferred to the Financial Services Authority (OJK). Over time, crypto assets have continued to show a positive trend as a promising financial instrument, particularly in Indonesia.
Robby, Co-Founder of Reku, highlighted the remarkable growth of crypto assets in Indonesia between 2020 and 2025. Over five years, the number of crypto investors increased fivefold, from 4 million to 22.11 million.
However, this figure should be interpreted with caution, as the investor registration system has yet to fully implement a single identity framework. As a result, the number of users appears larger than it actually is. Robby hopes that OJK will adopt a single identity system in the future to improve data accuracy and facilitate better industry management.
Global Harmonization and Local Competitiveness
Asih Karnengsih also emphasized the importance of cross-border blockchain harmonization. Domestic industry players must enhance their competitiveness to compete in the global market. Meanwhile, service innovation remains a key focus to sustain the growth momentum of Indonesia's crypto industry.
Challenges and Prospects for Crypto Assets in Indonesia
According to Robby, one of the main challenges for crypto assets in Indonesia is the proliferation of illegal exchange platforms. While platforms like Coinbase are considered legal in their home countries, they lack operating licenses in Indonesia.
Interestingly, the cross-border nature of crypto transactions allows trading activities to continue even if a platform is deemed illegal domestically. However, law enforcement on suspicious transactions largely depends on the authorities in each country. For instance, if a suspicious transaction occurs in Hong Kong, Indonesian authorities have no jurisdiction to take legal action.
Additionally, education and financial literacy are crucial in navigating the industry's developments. Robby stressed the importance of making informed investment decisions without rushing. As the crypto industry continues to evolve, new innovations will emerge, making a solid understanding essential for mitigating risks.
On another note, taxation remains a critical issue. Currently, every crypto asset transaction is subject to Value-Added Tax (VAT). Robby hopes that once crypto assets are fully recognized as digital financial instruments, the VAT burden will be lifted to support industry growth.
Ultimately, service innovation will be a key factor in shaping the future of crypto assets in Indonesia. With the right regulatory support, widespread education, and continuous technological advancements, the industry has the potential to become an integral part of the country’s digital financial ecosystem.
